7th Pay Commission Report on Allowances

7th Pay Commission Report on Allowances – Commission observes that too many allowances are paid to Employees and recommend for abolishing as many as 52 allowances and rationalising the others

By getting information of from all government departments 7th Pay Commission has observed that there are 196 types of allowances are paid to Central Government Employees / Defence Personnel. The Commission also observes that any other allowances not mentioned in the report will have to be abolished.

In Brief, the 7th Commission has abolished 52 allowances straightaway. Another 36 allowances have been abolished as separate identities but either merged with other allowances or created as new allowances.

Recommendations of 7th CPC for each of these allowances are as follows

Sl.

Name of the Allowance

Recommendation

1

Accident Allowance

Not included in the report.

2

Acting Allowance

Abolished as a separate allowance. Eligible employees to be governed by the newly proposed “Additional
Post Allowance.”

3

Aeronautical Allowance

Retained. Enhanced by 50%.

4

Air Despatch Pay

Abolished.

5

Air Steward Allowance

Abolished.

6

Air Worthiness Certificate
Allowance

Retained. Enhanced by 50%.

7

Allowance in Lieu of
Kilometreage (ALK)

Not included in the report.

8

Allowance in Lieu of Running
Room Facilities

Not included in the report.

9

Annual Allowance

Retained. Enhanced by 50%. Extended to some more categories.

10

Antarctica Allowance

Retained. Rationalised. To be paid as per Cell RH-Max of the newly proposed Risk and Hardship Matrix.

11

Assisting Cashier Allowance

Abolished.

12

ASV Allowance

Abolished.

13

Bad Climate Allowance

Abolished as a separate allowance. Subsumed in Tough Location Allowance-III. To be paid as per Cell R3H3 of the newly proposed Risk and Hardship Matrix.

14

Bhutan Compensatory Allowance

Retained. Status Quo to be maintained.

15

Boiler Watch Keeping Allowance

Retained. Rationalised. To be paid as per Cell R3H1 of the newly proposed Risk and Hardship Matrix.

16

Book Allowance

Retained. Status Quo to be maintained.

17

Breach of Rest Allowance

Not included in the report.

18

Breakdown Allowance

Abolished.

19

Briefcase Allowance

Retained. Status Quo to be maintained.

20

Camp Allowance

Abolished as a separate allowance. Subsumed in the newly proposed Territorial Army Allowance.

21

Canteen Allowance

Retained. Enhanced by 50%.

22

Caretaking Allowance

Abolished as a separate allowance. Eligible employees to be governed by the newly proposed “Extra Work Allowance”

23

Cash Handling Allowance

Abolished.

24

Children Education Allowance
(CEA)

Retained. Procedure of payment simplified.

25

CI Ops Allowance

Retained. Rationalized.

26

Classification Allowance

Retained. Enhanced by 50%.

27

Clothing Allowance

Abolished as a separate allowance. Subsumed in the newly proposed Dress Allowance.

28

Coal Pilot Allowance

Abolished

29

COBRA Allowance

Retained. Rationalised. To be paid as per Cell R1H1 of the newly proposed Risk and Hardship Matrix.

30

Command Allowance

Abolished

31

Commando Allowance

Abolished

32

Commercial Allowance

Abolished

33

Compensation in Lieu of Quarters
(CILQ)

Abolished as a separate allowance. Eligible employees to be governed by the newly proposed provisions for Housing for PBORs.

34

Compensatory (Construction or
Survey) Allowance

Retained. Rationalised. To be paid as per Cell R3H2 of the newly proposed Risk and Hardship Matrix.

35

Composite Personal Maintenance
Allowance (CPMA)

Retained. Rationalised. Enhanced by 50%. Extended to some more categories.

36

Condiment Allowance

Abolished.

37

Constant Attendance Allowance

Retained. Enhanced by 50%.

38

Conveyance Allowance

Retained. Status Quo to be maintained.

39

Cooking Allowance

Retained. Rationalised. To be paid as per Cell R3H3 of the newly proposed Risk and Hardship Matrix.

40

Cost of Living Allowance

Retained. Status Quo to be maintained.

41

Court Allowance

Abolished.

42

Cycle Allowance

Abolished.

43

Daily Allowance

Retained. Rationalized.

44

Daily Allowance on Foreign
Travel

Retained. Status Quo to be maintained.

45

Dearness Allowance (DA)

Retained. Status Quo to be maintained.

46

Deputation (Duty) Allowance for
Civilians

Retained. Ceilings enhanced by 50%.

47

Deputation (Duty) Allowance for
Defence Personnel

Retained. Ceilings enhanced by 50%.

48

Desk Allowance

Abolished.

49

Detachment Allowance

Retained. Rationalized. Enhanced by 50%.

50

Diet Allowance

Abolished.

51

Diving Allowance, Dip Money and Attendant Allowance

Retained. Enhanced by 50%.

52

Dual Charge Allowance

Abolished as a separate allowance. Eligible employees to be governed by the newly proposed “Additional
Post Allowance”.

53

Educational Concession

Retained. Rationalized. Extended to some more categories.

54

Electricity Allowance

Abolished.

55

Entertainment Allowance for
Cabinet Secretary

Abolished.

56

Entertainment Allowance in
Indian Railways

Abolished.

57

Extra Duty Allowance

Abolished as a separate allowance. Eligible employees to be governed by the newly proposed “Extra Work Allowance”.

58

Family Accommodation
Allowance (FAA)

Abolished as a separate allowance. Eligible employees to be governed by the newly proposed provisions for Housing for PBORs.

59

Family HRA Allowance

Retained. Status Quo to be maintained.

60

Family Planning Allowance

Abolished.

61

Field Area Allowance

Retained. Rationalized.

62

Fixed Medical Allowance (FMA)

Retained. Status Quo to be maintained.

63

Fixed Monetary Compensation

Abolished as a separate allowance. Eligible employees to be governed by the newly proposed “Additional
Post Allowance”.

64

Flag Station Allowance

Abolished as a separate allowance. Eligible employees to be governed by the newly proposed “Extra Work Allowance”.

65

Flight Charge Certificate
Allowance

Abolished as a separate allowance. Eligible employees to be governed by the newly proposed “Extra Work Allowance”.

66

Flying Allowance

Retained. Rationalised. To be paid as per Cell R1H1 of the newly proposed Risk and Hardship Matrix.

67

Flying Squad Allowance

Abolished.

68

Free Fall Jump Instructor
Allowance

Retained. Rationalised. To be paid as per Cell R2H2 of the newly proposed Risk and Hardship Matrix.